Kalbe In-house Show & Pharma Forum 2006

Cheap Revolution influences all of daily life’s aspects. The pharmaceutical industry is no longer immune to this issue, as said by Johannes Setijono, the President Director of PT Kalbe Farma Tbk when opening Kalbe In-house Show & Pharma Forum 2006, Thursday 21 September 2006 at Cikarang, Bekasi Jawa Barat.



Cheap Revolution

According to Indonesia Innovator of the Year 2006 from CNBC Asia Pacific, Cheap Revolution is a massive event that occurred on account of globalization that overwhelms the world. Costumers are smarter in spending their money as well as increasing their demands for quality and comfort. As days passed the price for goods and services decline.

Some of the causes are: technology revolutions, real time media, the increase of productivity, price information from the internet, mass production, etc. Besides that, the pharmaceutical company in particular, is being demanded to reach a certain quality standard namely, cGMP, ISO 9001, ISO4001, OHSAS 18001 & Total Quality Management.

To achieve the above standards with high quality products and efficient cost, there is a way called Outsourcing.

Outsourcing system is commonly used by overseas companies – this benefits both parties. For the outsourcing contributor, this may decrease investments when there are new and high tech products in line. For the outsourcing recipients, the possessed capacity may be used to the maximum.

With outsourcing, the company may become tougher in facing cheap revolution. Slowly but surely, the products manufactured will become relatively cheaper, except the products that are still in patent period, said Johannes.

Can the "Local" manufactures survive without partnership?

The above question becomes the base of Santoso Oen’s explanation regarding the challenges in the world of pharmaceutical producer these days. As an example, the Director of PT Kalbe Farma Tbk quoted news regarding Vietnam’s pharmaceutical industry. Around 100 local pharmaceutical companies (out of 200) are at risk of being closed down. Some of the reasons are the increasing production costs and the demands from Vietnam’s National Agency of Drug and Food Control for higher quality. Such things may become an idea for the companies in Indonesia, both big and small to start thinking about production pattern that may depress the production and development costs, to hold back investment process cost and decrease quality management cost.


Besides taking up explanations from pharmaceutical outsourcing experts, participants can also look at the opened booths. Various booths that depicts the production process, quality control, supply chain management, packing, etc. were shown at Kalbe Farma office in Cikarang, Bekasi Jawa Barat.